Hey IDC HoldersLooks like the Day Traders are moving on today!...

Hey IDC Holders

Looks like the Day Traders are moving on today!

An excellent time to accumulate IDC Shares!

Remember we have 37 Drill Hole Assays to come in the following 8-12 weeks, a JORC Upgrade and Gold Reserve as well.

IndoCHine released their PFS yesterday, an incredible achievement since they have only been on the ASX for 23 months. Now for the BFS!

Here are the numbers from the PFS:
Assumed Gold Price: $1650/Oz
JORC: 2.1mill ounce Gold/Silver Resource
Annual Prodn: 151,000 ounces
8 Yr Life based on 2.1Mill ounces
$2Billion Revenue over 8 Yrs
$800Million Prodn Costs Over 8 Yrs
$1.2Billion Profit Over 8 yrs

Using Current 2.1Million Ounce JORC (more to come)
Annual Revenue:
$250Million
Annual Costs:
$100Million
Annual PROFIT:
$150Million

The Day Traders are complaining about the production cost of $660/Oz, but when the price of gold is at $1800/Oz and heading north, that represents an incredibly strong gross profit margin!

(With significant new bonanza zones + 37 Drill Hole Assays to be announced in next 3 months + JORC Upgrade/Reserve)

As the JORC Resource Lifts, so will the annual production, making a massive increase in share price.

Now that we have some numbers we can punch into the EPS and Share Price Calcs when in Production, we come up with the following 3 Scenarios:

BTW Gold Price is at a conservative $1650/Oz in calcs, current price of $1790/Oz and heading north with QEIII!

I have punched in some numbers below, for the expected share price based on conservative EPS and Price Earnings Ratios.... some very exciting numbers indeed!

It is the sheer size of Mt Kare that will show extraordinary returns to shareholders as Mr Promnitz and his team "Awaken the Sleeping Giant Mt Kare"!

P/E Ratio I have used is recession low of 8 Times EPS
Gold Price I have used is current gold price, $1800/Oz, which is expected to break $2000/Oz within 60 days.


Scenario 1
Profit/EPS/Share Price Based on Current 2.1Mill JORC

Scenario 2
Profit/EPS/Share Price Based on Current 5Mill JORC

Scenario 3
Profit/EPS/Share Price Based on Current 10Mill JORC
(This would need an additional 3 Yrs of Drilling)

Looking at the numbers above it would be reasonable to expect that a 5 Million JORC and subsequent Reserve would comfortably be established, given, even at 5Million JORC it still only represents 17.8% of the Porgera JORC Resource of 28Million OUnces.

This is what we should be looking at, not at short term share price movements for confidence in the company!

The size of the prize is enormous!

Cheers Nectar38